State Credit Plan 2007-08 to be announced on Jan 9

THE POTENTIAL linked credit plan (PLP) for Madhya Pradesh has been projected at Rs 13,000 crore in total priority sector for the year 2007-08.

THE POTENTIAL linked credit plan (PLP) for Madhya Pradesh has been projected at Rs 13,000 crore in total priority sector for the year 2007-08.

National Bank for Agriculture and Rural Development (NABARD), which has completed the exercise of preparation of PLPs for all the 48 districts of the state for the next fiscal, would formally announce it at a state credit seminar in the City on January 9.

The NABARD would also come up with the State Focus Paper and the State Sectoral Paper for 2007-08 – two important documents before the state budget, which would provide details regarding the potential available in the state for different sectors and the support services necessary to reach the level of credit envisaged has also been identified.

The state focus paper is likely to project Rs 9,100 crore PLP in agriculture and Rs 3,900 crore in the non-farm sector, taking the aggregate total to Rs 13,000 crore. As the state lags in infrastructure development, the sector has been identified as a major area of concern. The cumulative infrastructure support provided by the NABARD till September 2006 stands at Rs 3582.99 crore in terms of loans sanctioned Rs 2321.19 crore disbursement to 1,740 projects.

Keeping with the directives of the Union Finance Minister towards doubling of credit to agriculture, during 2005-06, credit to agriculture recorded a growth of 23 percent over 2004-05, whereas in 2006-07 (till 30 June’06) Rs 2492.36 crore credit was disbursed registering 33 per cent of the target.